Question
Leon has two options to consider for their restaurant. They could add breakfast hours or dinner hours, but not both. If they are considering these
Leon has two options to consider for their restaurant. They could add breakfast hours or dinner hours, but not both. If they are considering these options, and determines that adding breakfast or dinner hours would add $15,000 to their monthly revenue, which choice should Leon make if breakfast requires additional staff and dinner requires equipment purchases?
Select answer from the options below
They can pick either one, since they will need to add staff or equipment with either choice
They should add breakfast since there is no equipment needed.
They should add dinner hours since they already have the necessary staff.
They can't determine from just the additional revenue, as the costs of each option have not been determined.
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Managerial Accounting An Integrative Approach
Authors: C J Mcnair Connoly, Kenneth Merchant
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